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Electrolux

"WE CAN SEE THAT IN A SHORT TIME USER SATISFACTION HAS INCREASED DRAMATICALLY."

Marcus Claesson CTO and Head of IT Operations, Electrolux

CHALLENGE

Electrolux is a global leader in household and professional appliances, selling more than 40 million products to customers in more than 150 markets every year. The company focuses on innovations that are thoughtfully designed, based on extensive consumer insight, to meet the real needs of consumers and professionals. Electrolux products include refrigerators, dishwashers, washing machines, vacuum cleaners and cookers sold under esteemed brands such as Electrolux, AEG-Electrolux, Eureka and Frigidaire. In 2008 Electrolux had sales of SEK 105 billion and 55,000 employees.

While Electrolux had previously worked with other IT solution providers, it realised it was not receiving the best service for its requirements.

“We were looking for improvements in the quality of the service, and at the same time we knew that we could reduce costs significantly,” says Marcus Claesson, CTO and Head of IT Operations.

To meet these requirements, Electrolux looked for a partner that could help it to leverage increased value from its IT resources, and provide the flexibility it needed to respond quickly and effectively to its business challenges.

SOLUTION

Following a competitive tendering process, Electrolux selected Fujitsu as its partner to provide a complete end-to-end managed IT workplace service for all of Europe, including Russia. The agreement covers full responsibility for desktop managed services, service desk, messaging, LAN management, on-site support and server management. It also includes a remote backup system based around Fujitsu’s data centre in Finland.

“We chose to work with Fujitsu because of their flexibility and because we felt we were able to build a suitable contract with them, with the right incentives included – they were very much open to this,” says Mr Claesson.

“Traditionally, in this kind of contract, you pay per call to the service desk – this is the opposite of what you want, as it creates an incentive for more calls and less resolutions,” explains Mr Claesson. “Fujitsu were open to discuss the right kind of contract to ensure suitable behaviours were built in from the beginning – which ultimately means we save money and have a more satisfied end user while Fujitsu has resources that can drive continuous improvement in various areas or take on additional services. “Everyone is winning in this model” says Mr Claesson.

The initial transition of services and migration of data was completed on schedule. Fujitsu now provides a fully managed service for nearly 10,000 Electrolux staff in over 120 locations throughout Europe. Services are delivered on a truly worldwide scale, including Fujitsu’s global delivery centres in Russia, Portugal and India.

Fujitsu is able to provide a fast and efficient delivery of desktop PCs, laptops and other hardware to Electrolux, according to Mr Claesson: “Lead times for new equipment have reduced substantially and our procurement process has improved dramatically.”

As well as an improved service, Electrolux required its IT partner to deliver better value for money. “We have been able to achieve the cost reductions we targeted with Fujitsu,” says Mr Claesson.

SERVICE-CENTRED APPROACH

According to Mr Claesson, the service desk and user support provided by Fujitsu is key to the overall success of the engagement. “Every time an IT issue gets in a user’s way then they can’t do their job and productivity is lost – this is why the Service Desk needs to be at the core of the service and deliver in line with or exceed expectations at every instance. Although this is a basic IT service, it sets forth how the IT function is perceived within an organisation.”

The success of the service desk is demonstrated by the fact that 80 per cent of issues are resolved within the first call. Electrolux has also seen the satisfaction of its users improve, as measured by internal surveys.

“One of the aspects that stood out with Fujitsu was the way they positioned the front-line service desk,” says Mr Claesson. “Fujitsu differentiates from other vendors, because of how the service desk is positioned and because of the methodology applied. People who work there know that, and are empowered to suggest ideas for improvements that can be brought to the customer – that resonates with us very well.”

At the tendering stage, Electrolux had already decided that it wanted to change how the service desk was positioned and improve how it met users’ needs. “We felt with Fujitsu’s model that this was the way to go – by trying to transfer as much knowledge as possible from the second and third level support to the first level support that answers the calls, you improve the service for the users,” explains Mr Claesson.

“We saw that the way Fujitsu develops its service desk staff and gives them perspectives within the company is good.”

FLEXIBLE RELATIONSHIP

Electrolux and Fujitsu have built an open and flexible relationship, based on mutual trust and accountability. Mr Claesson comments: “Traditionally in this space, vendors have focused on delivery of a standard service with less room for discussion. Instead, Fujitsu tries very much to be in tune with the customer, and to customise service delivery to fulfil its specific needs. Fujitsu’s people have a focus on the customer that’s deep in their culture.”

According to Mr Claesson, Fujitsu is different from other service providers as the scope of the contract is not its primary focus, and instead it concentrates on building a successful long-term relationship: “Fujitsu is unusual in that they assume that if they prove they can do something first, they can then come back to the contract afterwards.

While the relationship is built on trust, Electrolux has ensured it is backed up by solid facts. “We have a number of service level Key Performance Indicators (KPIs) which we follow very closely and discuss openly with Fujitsu,” says Mr Claesson.

“As well as reduced costs and service improvements, flexibility was an important driver for us, and we have achieved this with Fujitsu”

LONG-TERM PHILOSOPHY

Both Electrolux and Fujitsu see the relationship as long-term, with the current five-year contract potentially as just a starting point.

“We have invested on both sides to ensure we have built a solid foundation for this relationship, and so it can become a long-term success,” says Mr Claesson. “There must be a balance between the customer and the provider requirements, and if you want to have a long-term relationship it has to be win-win.”

“The ultimate target is to deliver a high quality service to our business – we have an open dialogue and we define steps and measures to ensure we get to where we want to be,” concludes Mr Claesson. “We are well on our way to meeting our goals of service improvement and have no doubt that we will fully achieve them.”

EXPERTISE

With over 30 years experience of supporting the needs of customers, Fujitsu has a proven track record in providing complex systems integration and management services that reduce costs, improve productivity and customer services and deliver a compelling return on investment.

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